Nov 27, 2024
6thTrade
Dogecoin (DOGE) has achieved a major milestone, surpassing the market capitalization of luxury automaker Porsche. As of 8:34 AM UTC on November 27, Dogecoin’s market cap reached $57.8 billion, outpacing Porsche’s $56.1 billion, according to Cointelegraph data. This impressive rise is attributed to strong endorsements from Elon Musk and the recent announcement of a DOGE-based exchange-traded product (ETP).
Key Drivers Behind Dogecoin’s Surge
1. Elon Musk's Influence
Dogecoin's momentum in 2024 has been heavily driven by Musk’s persistent endorsements on social media. His role in the creation of the Department of Government Efficiency (DOGE)—an agency aimed at reducing government spending and improving regulatory efficiency—has further boosted interest in the memecoin.
The agency’s acronym (DOGE) coinciding with the token’s ticker symbol has led some retail investors to speculate about an impending Dogecoin rally.
2. DOGE ETP Launch
On November 26, Valour, a subsidiary of DeFi Technologies, launched the first DOGE-based ETP. Johanna Belitz, Valour’s head of Nordics, explained the decision:
"In light of the recent [United States] presidential election results and the subsequent surge in demand for Dogecoin […] bolstered by influential figures like Elon Musk."
The launch has added credibility and institutional interest to Dogecoin, fueling its growth.
Dogecoin Outperforms Porsche
Dogecoin’s market cap has soared by over 395% in 2024, compared to Porsche, which has seen a 56% decline in market cap since its valuation of $117 billion in April 2023. Porsche’s current market cap stands at $56.1 billion, as reported by CompaniesMarketCap.
Technical Analysis: A 1,000% Rally?
Crypto traders anticipate further gains for Dogecoin, with some predicting a 1,000% rally based on technical chart patterns.
Gaussian Channel Analysis:
Market analyst Trader Tardigrade highlighted that Dogecoin is following its historical price trajectory within the Gaussian channel. This technical indicator identifies price action boundaries, suggesting DOGE is poised for a significant upward move.
Conclusion: A Historic Year for Dogecoin
Dogecoin’s rise in 2024, fueled by Musk’s influence, growing institutional adoption, and the debut of the DOGE ETP, underscores its potential as a major player in the crypto market.
While Porsche’s declining valuation reflects struggles in the traditional automotive sector, Dogecoin’s continued growth could signal the memecoin’s ability to sustain its bullish trajectory. With technical patterns pointing to a possible explosive rally, Dogecoin remains a token to watch in the months ahead.
